Material Latent Defect: Owner filled swimming pool: Didn't disclose (Ontario)

By
Commercial Real Estate Agent with RE/MAX West Realty Inc., Brokerage (Toronto)

Material Latent Defect: Owner filled swimming pool: Didn't disclose

Question:

An owner purchased a house with swimming pool. He decided he doesn't want the pool. He hires a few guys to fill in the pool and covers it over with grass.

Time comes to sell the property. He doesn't disclose it. Property is sold. 

New owner finds out that there used to be pool.

  1.      Is that considered material latent defect that the original owner should have disclosed?
  2.      Does the new owner have a case against the original owner? If yes, is there time limit to pursue?
  3.      Could there be other issues (city not have been informed about filling the pool)?
  4.      What should the original owner have done if they wanted to fill the pool legally?

Answer: 

It would certainly be a latent defect, but the question is whether or not it meets the “material” threshold.

  1.      It’s not necessarily material.
  2.      Possibly, but only if it’s material. Two years.
  3.      Yes.
  4.      Depends upon municipality, but secured a permit for the demolition and removal.

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